A broker is a financial intermediary who provides services for purchasing and selling financial instruments and their derivatives for a fee known as a commission. Typically, brokerage activities are regulated by the government, and the issuance of a license to a broker guarantees the quality of services they provide. Depending on the jurisdiction, non-compliance with regulatory documents may result in penalties for the broker. Therefore, jurisdiction is an important factor in assessing a broker’s reliability, although it does not provide a 100% guarantee of quality.